REUTERS
The Verkhovna Rada of Ukraine has adopted in the first reading the draft law on granting preferences to national producers in public procurement, which contradicts the Association Agreement with the European Union, even if their price offers are 25% to 43% more expensive than those of competitors.
The document was backed on December 7, by 241 MPs with the required minimum at 226 votes.
According to the bill, businesses need to get 23 certificates to confirm that their goods are of Ukrainian origin.
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According to him, imported goods or those with a significant import component account for 38% in public procurement, which is estimated at UAH 270 million (US$9.96 million), while the share of national goods is 62%. Halasiuk says the adoption of the bill will add 1% to the GDP growth, as well as reduce imports and unemployment by 5% and by 0.5%, respectively.
At the same time, Chairman of the Rada's Committee for Economic Policy Andriy Ivanchuk stressed that the bill would be finalized by the second reading to increase the transparency of preferences and reduce threats to competition.
"By the second reading, we will have made sure the bill provides for preferences to domestic producers, while not violating competition," Ivanchuk said.